Initiation into the OSA tradition is through three degrees. What follows is a description of the Circle of Cerridwen's degree requirements and expectations. Initiation is not required to be a member of the coven, but if you show up on a regular basis and are doing the work, that work will not go unrecognized for long.
This initiation is the dedication to the path, and entry into studying the Craft, taken of one's own free will. The candidate asks for initiation (or is sometimes offered) and shows willingness to learn the path. (Not just for the status.)
This initiation is for getting connected to the egregore of the tradition and coming into one's own power. The candidate will demonstrate the following: Realizing that we are all connected, and that the spiritual parts of life are not disconnected from any other aspect of life. That also means that the candidate has realized that they are also (mind, body, spirit) part of the whole. The beginnings of talking to gods/spirits (at minimum). Able to cast and maintain the energy of a circle during a working. Initial tools are created/obtained (at minimum). Has had an ordeal/test from spirit/deity (either given through the teacher, or from the spirit/deity themselves, generally more of the latter). Has received a witch name from the spirits (not a deal breaker, but best).
This initiation is acknowledgement of the full realization of the connectedness of mind, body, and spirit. The candidate demonstrates the following: Getting instruction from and/or dedication to deity or deities. Creating and running circles on their own. Has own set of tools. Would be able to run own coven, and work autonomously. Has begun to use their training and power to help others, using their own moral compass, and understands the ethics behind the use of Power.
We also consider 3rd Degree ordination. In other words, one is putting out their "shingle" to the universe that they are willing and able to be creators of change in the universe. This usually results in doing more public, visible work in the community.